Great news! Windows Phone hits 7% US market share in March 2011

nielsen2

Windows Phone March 2011 Market Share

Nielsen have published some market research which shows that Windows Phone (which includes Windows Mobile and Windows Phone 7, but surely WM sales are miniscule now) has hit 7% of new smartphones sales in March 2011. An NDP survey in Q4 2011 had shown Windows Phone had only 2% market share in that period.

At 7% it is around half the 15% market share of  RIM in USA, with Windows Phone 7 only available on AT&T, T-Mobile and Sprint. The numbers will likely see a significant surge when Windows phones become available on Verizon and opens up the possibility of Windows Phone overtaking RIM sales soon.  Significantly RIM had dropped in market share from 19% to 15% over the preceding 3 months.smartphone-marketshare

Windows Phone installed base March 2011

Further good news is that Windows Phone’s installed base slide has been halted, as sales of new Windows Phones at least match the rate at which Windows Mobile users are abandoning the old platform.

Earlier installed base numbers collected between November 2010 to January 2011 had shown Windows Phone at 10%, and this number is still true in March 2011.  This is in stark contrast to RIM, which saw its installed base drop from 27% of smartphone owners in the earlier period to only 22% in March 2011, 3 months later.

nielsen

Windows Phone installed base Q4 2010

Nielsen also reports that 6% of consumers want a Windows Phone, which is a drop from 7% in Q3 2010, but then of course Windows Phone 7 had not launched yet, and presumably the 6% in Q1 2011 are much more likely to actually buy a handset.

A full 20% are also undecided, and it is up to Microsoft’s marketing to convince a chunk of those to go Windows Phone 7.

So, in summary, Windows Phone 7 sales are already a significant chunk of US smartphone sales and are keeping pace with the market, unlike RIM or Palm, and should see further increases with both carrier expansion and new buzz due to the upcoming Windows Phone 7.5.

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About Surur

Site Admin and Windows Phone enthusiast, he has been using Windows Mobile devices since before they were called PocketPC’s. He is currently sporting a HTC 7 Trophy.

  • sixseven

    Um… I'm on t-mobile us, and I have an HD7 Windows phone…

  • efjay

    You are forgetting T-Mobile. I also think MS is slacking a bit on advertising, really need to put WP7 right in the faces of potential buyers consistently. They may have been slow with updates but at&t is the only US carrier doing any advertising, and they need to push that harder and faster. Hopefully when the HD7s is available there will be more ads from at&t and Microsoft.

    • zs450

      Sprint hasn't put one ad out there for the Arrive and it's a great phone! AT&T is the only one that had a marketing push other than Microsoft and they've fallen off a bit like you said. When the Touch Pro 2 came out HTC and Sprint both had ads out there and Microsoft didn't do much. Now thye're pouring all of this effort into the platform and the OEMs and Carriers are pushing Android.

  • seon

    The only way is up :)

  • GP007

    True, as long as tmoblie is still around that is. Remember AT&T is going to buy it, and I doubt the deal will be blocked.

    • efjay

      T-Mobile hasnt been sold yet, lets not count our chickens now.

  • GP007

    I hope the rumor of 9 new devices with Mango is true (not counting any Nokia phones that should come before the year ends, I'm expecting 2 at least). Then with the update itself and all the new features MS can push advertising hard again. If all goes well and we don't have any big problem with Mango etc, then I expect by this time next year that WP7 will catch if not pass RIM in the US marketshare wise.

    Quite frankly I see RIM as the next Palm in a few years, specially if they start to lose grip of their trusted enterprise sales base.

    • Chewie

      I see RIM falling too. I tested the BB Torch 9800 during two day. And actually this device is really disappointing. The mix touch screen/physical keyboard is a real mess, the UI is mediocre, network reception terrible. The worst part is the Menu: what a big mess, totally not intuitive or logical.

      Actually I see RIM and iPhone falling. Same clientele. Mostly girls and tennagers (in Europe).
      Android and WP7 will probably have a brighter future.

  • someoneinwa

    What bugs me most about Windows Phone right now is the advertising. It is not whether I personally like or dislike a particular ad, it is about how often I see the ads. I do spot Windows Phone/AT&T ads now and then, but I haven't seen the generic Windows Phone ad in some time. Apple on the other hand has iPhone ads running two and three times in some shows. The ads are uncreative, talky things, but they are there. Worse, I haven't noticed Windows Phone displays at airports, outdoor, or in other venues that are commonly used by Apple and Google. It is possible I've just not visited the right airport or terminals, but the ads should be everywhere if you want people to see them. This is a great product. Let's let everyone see it!

    • http://www.facebook.com/wixostrix Edwin Michael Rodriguez-Duplesis

      You're right about the lack of generic ads, however i do notice them on medium to high profile shows pretty often. On 420 they were advertising the crap out of it on G4 and whatever football game was on the TV. I was actually quite surprised. I don't think they want an explosion in sales just yet.

  • stillwaitin

    no thanks to verizon

  • Paul

    Can't be happy with that result after spending nearly half a billion on the launch. Good thing they secured Nokia.

    • Guest

      5 months after launch, a new phone OS hits 7% in a market with titans like Google and Apple, and that is disappointing?

      Did you seriously think it would hit 30%?

      • Brian

        Until we get more detail we really don't know much from these graphs since they combine WP7 and the older Windows Mobile. For all we know the only thing that has changed could be that WM has stopped or slowed its decline.

      • Paul

        We don't know what share WP7 (specifically) has hit. See Brian's response below. And there are some other consumer data points that are disturbing:
        http://blogs.computerworld.com/18192/more_bad_new

        I doubt the launch met even MS's expectations. And the follow on update fiasco has probably hurt momentum that was building. There's a reason MS is being shy about sharing sales numbers.

        But it's not over yet. If we see some new phones, Mango gets done and is good, and Nokia ships before year end, then maybe they can get back on track. But it's effectively going to be a relaunch at this stage based on the lackluster numbers so far.

        Look. I'd like to be more positive. WP7 has a lot of potential and MS really needs to get back in the mobile game. But that's reality as I see it.

    • Just Visiting

      I was under the impression that the $500K budget for Windows Phone was to be for the entire year (10/2010 – 9/2011), not solely for the initial launch.

      • Paul

        Launch budgets are usually front-end loaded. Maybe they held some back when they saw the hardware availability issues and then the update delays. I hope so. Otherwise, they're going to have to spend more than they allocated. Because I think they effectively need to relaunch with Mango later this year.

  • tjarren

    For some reason the demand for this OS among Verizon customers has not be recognized by Verizon's staff. Is it an accident that the sales spiked when a device was finally released for Sprint? Or that the release date of the device was anticipated and didn't have ANY marketing?

    The truly unfortunate part is that a number of Verizon faithful that were off contract have switched to one of the 3 carriers in the US that has WP devices already, so they have lost sales that they don't even realize. I may have to make a decision soon myself that's not in Verizon's favor.

    Still, expect a decent spike again whenever Verizon releases a device. If its in the next 2-3 weeks, I'll likely be among them.

    • stillwaitin

      ditto, i am ready to jump ship if i don't see a WP real soon

    • Brian

      What sources do you have that sales spiked?

    • http://jeftek.com JefTek

      Verizon is right to maybe hold back a launch of wp7 with only one phone. The trophy might have been interesting in 2010, but compared to the feature packed android devices on vzw and the draw of the iPhone (also a 2010 model but far superior hardware) it would only cater to those who want wp7 regardless. Those people might be a minority. I would be better for wp7 and vzw to have a more capable comparison device to launch with.

      I suspect businesses are waiting for more enterprise updates in mango before they would purchase large quantities as well.

  • manyuabhi

    ok!! lets do some maths…..based on the manufactures data on each platform, samsung and HTC count for 9 out 12 phones supporting windows mobile or windows phone 7, also 1 % is for others. HP is not producing any wp7 device. So if we say 70% of the phones sold are wp7, its not that big to believe. Now with 7% market share, if we take 70% of it , ie 4.9 or 5% market share for wp7 and that is for the new devices sold. So of every 1 wp7 sold android is selling 10 devices. NOTHING HAS CHANGED FOR WP7 and if 200000 android phones are sold each day, 5% of it means 10000 sold a day for WP7, shamefull figures, in 6 months it is less than 2 million handsets sold till date. Now I know its not perfect to say based on a random calculation, still the sales are hardly to cheer about

    • http://wmpoweruser.com wmpoweruser

      Your maths is pretty suspect, but either way you are ignoring the real story, which is the growth from 2% to 7% market share.

      • gtorino

        Aside from the fact that NDP and Nielsen are different companies, 2% from NDP counts *market share for WP7 only* while 7% from Nielsen is for *new phone purchases for WM & WP7*. Apples to oranges right there. Wait for a few days for an update from NDP (maybe).

        Nielsen reported that Windows Mobile has a 14% market share for the US in October 2010:
        http://blog.nielsen.com/nielsenwire/online_mobile

        And this recent Nielsen report you posted says WM and WP7 combined is 10% as of March 2011…

    • Guest

      @manyuabhi__While your argument is reasonable, your calculation is wrong. Either you assume 10% of the Android share or 5% of the whole market and use these figures in your calculation. In both cases you would come to the conclusion, that 20000 WP7 devices are sold a day.

      • manyuabhi

        well, if yu agree with me that 5% of the phones sold are wp7, and 50% of the phones are android, as clearly shown in the data, than looking at the calculations its 10000 not 20000 buddy…..and I am using HTC HD7 and trust me I would love to see wp7 grow in number, but it is not growing…besides look athe discount amazon is offering besides ebay auctions…there is no intrest in buying wp7 phones…microsoft cannot tell us that a better version is coming, this only means that customers can wait for better phones coming or they can buy the latest android phone…..

        • http://wmpoweruser.com wmpoweruser

          a) clearly Windows Phone 7 is growing in number. Maybe not fast enough to make you happy, but Android had the same problem in its early stages.

          b) Regarding no demand, tell it to the 7% of people who paid their $199.

          • manyuabhi

            as much as I want the phone to succeed, they are not selling much, further we cannot compare android with windows phone, while android was a new OS, it was at the right time. The prices were falling and people were getting bored of iphones and symbians, while now its a different game, android is the king while IOS is still a very viable option leaving little room for growth. The only way to grow is flood the market with new phones which I dont see. 10 phones launched 6 months ago and the figure is still 10 with no new model in sight…… and the full report also states that the people who want to buy phones are actually less likely to buy a wp7 than they were last year. http://blogs.computerworld.com/18192/more_bad_new

            Honestly, I have always supported Microsoft and its products so I dont give a damn if anyone is buying or not, as long as the phones are supported by Microsoft I will buy them and come next generation, I will still stand there waiting for my phone.

          • http://wmpoweruser.com wmpoweruser

            That 7% who wanted the phone in September 2010 had never even had their hands on a WP& handset. I dont think their intent materialized much into sales. the 6% who want it now has already seen it in the stores and everywhere else. They reflect reality a lot more.

          • manyuabhi

            regarding your second remark, I have actually paid nearly 500 $$ to get the handset and I was one of the first person to buy it. So, it hurts me more than anyone when I see the same phone being sold at little over 300$ on amazon. And I have an HTC HD7 in UK

        • grenz242

          You're not reading your own comment correctly. First you state that WP7 sales is 10% of android sales, then you come up with 10000 WP7 per day by taking 5% of 200000 android phones sold per day. Perhaps you meant 200000 smart phones sold per day, but that's not what you wrote.

  • Guest

    Unless I'm missing something, this news is just wrong. Again.

    The first chart is not the total market share, but the market share of sold phones Q1. 7% of the phones sold in Q1 were WP7 *and* WM devices. Microsoft's total market share in Q1 is 10%, not 7% and especially not 7% of WP7 alone. There's no mention of that and just because you're assuming and speculating, it doesn't make it right.

    And even if I'm wrong and you're right (which is totally possible, maybeI overlooked something!), the NPD numbers from Q4 didn't include the Windows Mobile market share, this new survey however does. It was 2% WP7 and 4% WM in Q4, which means 6% of combined market share in Q4. Would make the new 7% figure of combined market share in Q1 less impressive, doesn't it? So much for the great news.

    Next time, please do some research and read your own sources. If that's too much, then you could at least correct your headlines. The news about "WP 7.5" is still wrong.

    • kevin

      "And even if I'm wrong and you're right (which is totally possible, maybeI overlooked something!), the NPD numbers from Q4 didn't include the Windows Mobile market share, this new survey however does. It was 2% WP7 and 4% WM in Q4, which means 6% of combined market share in Q4. Would make the new 7% figure of combined market share in Q1 less impressive, doesn't it? So much for the great news. "

      Thank you!!!!!! I noticed that as well, this website should be embarrassed. You don't become a reputable website by distorting the facts. Next time when you read a research report try to get it right, random commentators shouldn't have to do your research for you.

      You might also want to add an update to this article. "WP7/Windows Mobile increases 1%" or something along those lines.

  • http://j.mp/gl6Fom Guest

    Lets look at some other numbers. Here's some Facebook user data that shows a different perspective: http://j.mp/gl6Fom

    • http://jeftek.com JefTek

      wow, interesting data. You could assume that wp7 users just aren't using Facebook, but that's very different than other smartphone users if so.

      Ms needs to release the trend of units actually sold to end users. Everything else is creative speculation I am afraid.

      • Spinner

        Well, keep in mind that the data presented there is based on *global* facebook activity. Since Windows Phone 7 is only officially launched and promoted in a fraction of the countries the other platforms are currently launced and promoted in, the numbers dosn't look that great when in fact, in that light, it looks like WP7 is actually doing pretty good.

        • Guest

          0.47 percent of new users over the past week can not be construed as good in any shape, form or fashion. Peaking at 1.8 percent on launch and progressing to a slow slide likewise. There is no happy upside story here, no way to spin this. It is what it is, and that is a sad tale of a product that despite huge marketing and great reviews failed to thrive.

  • dan

    This post is just spin, things are not going well. Consumers are not buying Windows Phone.
    In the last 6 months the phone has been on the market I've only seen 3 devices in the wild (all Samsung Focus).

    I think there are a couple of factors at play here:
    - poor marketing
    - the name of the OS (having Windows in the name doesn't help at all)
    - the devices are boring and not enough of them

    • http://wmpoweruser.com wmpoweruser

      "Consumers are not buying Windows Phone. "
      So your anecdotal evidence is better than Nielsens market research?

      Nielsen just said half as many people who bought Blackberries bought Windows Phones in March, not just the 3 people you saw.

      • http://twitter.com/chmun77 @chmun77

        But that doesn't mean Nielsens are correct too! The number of source that the research did is also another factor. The truth is that I rarely see anyone using WP7 on the street, as compared to iPhone or Andriod.

        • http://wmpoweruser.com wmpoweruser

          Well, thats pretty easy to explain. There's more that 200 million iOS devices out there, and maybe 3 million Windows Phones. Doesnt mean its not selling.

        • Guest

          " The truth is that I rarely see anyone using WP7 on the street, as compared to iPhone or Andriod."

          So?

          #1 your job isnt to count cell phones. If you are looking that closely for kicks, then you are a nut.

          #2 Your ability to tell what people are buying based on your little looking at cell phones hobby is overinflated.

      • http://jeftek.com JefTek

        btw are businesses still buying windows mobile 6.x? Could those be part of the increase? Do we know if non-phone, but windows mobile devices are being included?

        If the numbers are starting to improve, Microsoft needs to start releasing sales to end use #s. Otherwise it is continuing to look suspicious that it may be a very low #.

  • http://jeftek.com JefTek

    The marketing blitz will only come when Nokia launches a Phone. MS KNOWS it needs Nokia to come out as a superstar from theor first Phone release to build momentum. By then whatever new features mango brings will have had burn in time, and the new version shipping on the first Nokia will help it to stand out. The other manufacturers are finding success wkth Android, but Nokia needs wp7 to survive.

    Wp7 still does not offer as much as Android IOS but itstill has potemtialas webos and blackberry fade.

    Wp7 needs a motorola droid like catalyst. Nokia is the hope they can deliver it

  • paul

    "An NDP survey in Q4 2011 had shown Windows Phone had only 2% market share in that period."

    NPD not NDP

  • A.L.

    Windows Phone may have hit 7% market share, but I think the insane number is how fast Android grew. It seems like it went viral in terms of mobile devices. http://www.experts123.com/questions/filter/window

  • Rossa

    Microsoft needs to rebrand itself as a cool company. The problem is this: people born from the mid 1970s until today are fecked with jobs. Our jobs suck. There is a class war going on, and this is reflected in everything we buy now. Microsoft is seen as a creation of the privileged people that had good and secure jobs in the 60's until the late 1980s. These people are nearing retirement, they are now executvies that are more worred about the cottage roof and fishing. People in their 20s and 30s now do not want anything created by their parents. That generation fecked us, left us with mounting debt, wars we don't want, antiquated ideas and opened up the world for free trade so they can cash in big time. Problem is, we're now paying for their lies and b.s.

    How about Google? It's cool. The company is trying to relavent. Apple is the same.

    Sorry Microsoft, change your name, get that old hulky looking dude off your main chair and replace him with a nice young Asian kid or something.

  • Ntomyng

    Windows Phone 7 will fail unless it can sync with Outlook. Right now, all the otehr phones: The old Windows Mobile phones, all Iphones, all Blackberries, Android phones and Nokia phones can all sync with Outlook. Only Windows Phone 7 cannot. That’s the ONLY reason I won’t buy one and a lot of other people are staying away from it too for this reason.

  • Dan Foulkes

    Hi, here’s my opinion why MS will struggle if not fail to acquire any reasonable amount of the mobile OS market.

    1) Past History – Sorry MS so far as a software developer/vendor company you’ve be renowned for bad security, software instability. These factors run over a persons mind when seeing the brand. If you want people to buy this then they need to know that it won’t break or slow down to a near halt within the first 6 months of getting it.
    2) Investment into over platforms- Lets not kid ourselves around the business model of how apps work, apps are developed to enhance our experience on a mobile platform they also in the same motion lock us in as apps are not transferable from one OS to another. This said means if a customer decides to jump ship they also need to repurchase the apps they love. In 2010 the average iphone owner had 40 apps, Android 25 apps and blackberry 14 apps.
    3) What about business users? – Business users are key to many software markets especially those in the blue chip market big multi-national organisations with 5,000+ workforce. However this is the market for RIM who has done a fine job of convincing many of the fortune 500 onto Blackberry. MS can hope that native support for MS Services may convince the switch however it seems MS didn’t bother to include outlook synchronisation at product release.

    There you have it. Sorry MS if your going to enter this market you need to bring something new to the table not just reiterate what other vendors have done already and in most cases done better job.

  • GrantB

    Bad assumption – that most of the 7% of sales is all WP7 and not Windows Mobile 6.5.

    In fact sites that show the break down show that WM6.5 was (at least until very recently) outselling WP7.

    Yes, WP7 has failed that badly.

  • Tryls_42187

    UM.. Bill Gates retired… lol And hes not old and hulky hes a good guy. He gave 30 billion dollars to build a foundation that will help the world

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